diff --git a/docs/protocol-compatibility.md b/docs/protocol-compatibility.md
index cd5de5b528..c0c318d963 100644
--- a/docs/protocol-compatibility.md
+++ b/docs/protocol-compatibility.md
@@ -54,11 +54,11 @@ without requesting streams. Application caches and which agents are visible rema
 
 ## Terminal ANSI replay
 
-`terminal_chunked_replay` is SDK-owned delivery behavior, separate from the daemon's
-`features.terminalChunkedReplay`. The daemon sends new binary opcodes only to a source
+`terminal_chunked_replay` is SDK-owned delivery behavior. The daemon sends new binary opcodes only to a source
 advertising the capability. The SDK keeps the established subscribe request against older
 ANSI hosts and normalizes their single Restore frame into begin/data/end. JSON snapshot
 wire declarations remain accepted, but JSON snapshot frames have no rendering runtime.
+Terminals require `terminal-restore-modes`; older hosts show an update message without attaching.
 
 ## Owned observations
 
diff --git a/packages/app/src/components/terminal-emulator-contract.ts b/packages/app/src/components/terminal-emulator-contract.ts
index a60cf2ec58..12638161a1 100644
--- a/packages/app/src/components/terminal-emulator-contract.ts
+++ b/packages/app/src/components/terminal-emulator-contract.ts
@@ -4,7 +4,6 @@ import type {
 } from "../terminal/runtime/terminal-emulator-runtime";
 import type { Ref } from "react";
 import type { ITheme } from "@xterm/xterm";
-import type { TerminalState } from "@getpaseo/protocol/messages";
 import type { TerminalInputModeState } from "@getpaseo/protocol/terminal-input-mode";
 import type { TerminalOutputData } from "../terminal/runtime/terminal-emulator-runtime";
 import type {
@@ -20,8 +19,6 @@ export interface TerminalEmulatorHandle {
   find?: TerminalFindHandle;
   writeOutput: (data: TerminalOutputData) => void;
   replay: (event: import("@getpaseo/client").TerminalReplayEvent) => void;
-  restoreOutput: (data: TerminalOutputData) => void;
-  renderSnapshot: (state: TerminalState | null) => void;
   paste: (text: string) => void;
   copySelection: (clipboard: TerminalClipboardWriter) => Promise<string>;
   clear: () => void;
@@ -45,7 +42,6 @@ export interface TerminalEmulatorProps {
   swipeGesturesEnabled?: boolean;
   onSwipeLeft?: () => void;
   onSwipeRight?: () => void;
-  initialSnapshot?: TerminalState | null;
   onFindRequest?: () => void;
   onFindResult?: (result: TerminalFindResult) => void;
   onInput?: (data: string) => Promise<void> | void;
diff --git a/packages/app/src/components/terminal-emulator-native-grid.native.tsx b/packages/app/src/components/terminal-emulator-native-grid.native.tsx
index d4aa03051b..359fbd1e03 100644
--- a/packages/app/src/components/terminal-emulator-native-grid.native.tsx
+++ b/packages/app/src/components/terminal-emulator-native-grid.native.tsx
@@ -13,7 +13,6 @@ import {
   type ViewStyle,
 } from "react-native";
 import type { ITheme } from "@xterm/xterm";
-import type { TerminalState } from "@getpaseo/protocol/messages";
 import {
   TerminalInputModeTracker,
   terminalInputModeStatesEqual,
@@ -120,43 +119,8 @@ function resolvePanResponderPoint(
   };
 }
 
-function initialNativeTerminalSize(snapshot: TerminalState | null): TerminalMeasuredSize {
-  return {
-    rows: snapshot?.rows ?? MIN_NATIVE_TERMINAL_ROWS,
-    cols: snapshot?.cols ?? MIN_NATIVE_TERMINAL_COLS,
-  };
-}
-
-function screenStateFromViewport(viewport: TerminalViewportState): TerminalScreenState {
-  const visibleRows = viewport.grid.length;
-  const currentViewport = {
-    firstRow: viewport.firstRow,
-    lastRow: Math.min(viewport.newestRow, viewport.firstRow + Math.max(1, visibleRows) - 1),
-  };
-  return {
-    viewport,
-    scroll: {
-      mode: "following",
-      firstRow: viewport.firstRow,
-      visibleRows,
-      oldestRow: viewport.oldestRow,
-      newestRow: viewport.newestRow,
-      currentViewport,
-      bottomViewport: currentViewport,
-    },
-  };
-}
-
-function viewportStateFromSnapshot(state: TerminalState): TerminalViewportState {
-  return {
-    rows: state.grid.length,
-    cols: state.cols,
-    firstRow: 0,
-    oldestRow: 0,
-    newestRow: Math.max(0, state.grid.length - 1),
-    grid: state.grid,
-    cursor: state.cursor,
-  };
+function initialNativeTerminalSize(): TerminalMeasuredSize {
+  return { rows: MIN_NATIVE_TERMINAL_ROWS, cols: MIN_NATIVE_TERMINAL_COLS };
 }
 
 function NativeTerminalEmulator({
@@ -169,7 +133,6 @@ function NativeTerminalEmulator({
   fontSize,
   keyboardInset = 0,
   isKeyboardVisible = false,
-  initialSnapshot = null,
   onInput,
   onTerminalKey,
   onResize,
@@ -181,20 +144,18 @@ function NativeTerminalEmulator({
   resizeRequestToken = 0,
 }: TerminalEmulatorProps) {
   const terminalRef = useRef<NativeHeadlessTerminal | null>(null);
-  const mountInputRef = useRef({ streamKey, initialSnapshot });
+  const mountInputRef = useRef({ streamKey });
   if (
     resolveNativeTerminalMountAction({
       mountedStreamKey: mountInputRef.current.streamKey,
       nextStreamKey: streamKey,
     }) === "mount"
   ) {
-    mountInputRef.current = { streamKey, initialSnapshot };
+    mountInputRef.current = { streamKey };
   }
   const inputRef = useRef<TerminalInputHandle>(null);
-  const terminalSizeRef = useRef<TerminalMeasuredSize>(initialNativeTerminalSize(initialSnapshot));
-  const resizePolicyRef = useRef(
-    createTerminalResizePolicy(initialNativeTerminalSize(initialSnapshot)),
-  );
+  const terminalSizeRef = useRef<TerminalMeasuredSize>(initialNativeTerminalSize());
+  const resizePolicyRef = useRef(createTerminalResizePolicy(initialNativeTerminalSize()));
   const activeResizeClaimTokenRef = useRef(0);
   const layoutRef = useRef<TerminalMeasuredLayout | null>(null);
   const metricsRef = useRef<TerminalGridCellMetrics | null>(null);
@@ -220,11 +181,7 @@ function NativeTerminalEmulator({
     ...inputModeTrackerRef.current.getState(),
     applicationCursorKeys: false,
   });
-  const [terminalScreen, setTerminalScreen] = useState<TerminalScreenState | null>(() => {
-    return initialSnapshot
-      ? screenStateFromViewport(viewportStateFromSnapshot(initialSnapshot))
-      : null;
-  });
+  const [terminalScreen, setTerminalScreen] = useState<TerminalScreenState | null>(null);
   const [selectionRange, setSelectionRange] = useState<TerminalSelectionRange | null>(null);
   const selectionRangeRef = useRef<TerminalSelectionRange | null>(null);
   const hasNotifiedSelectionRef = useRef(false);
@@ -365,6 +322,7 @@ function NativeTerminalEmulator({
           await terminal.write(chunk);
           emitInputModeChange();
         },
+        restoreSize: () => terminal.resize(terminalSizeRef.current),
         reset: (size) => {
           inputModeTrackerRef.current.reset();
           if (size) terminal.resize(size);
@@ -434,51 +392,41 @@ function NativeTerminalEmulator({
     [schedulePaint],
   );
 
-  const resetTerminal = useCallback(
-    (snapshot: TerminalState | null) => {
-      outputDrainRef.current?.dispose();
-      outputDrainRef.current = null;
-      terminalRef.current?.dispose();
-      screenModelRef.current = null;
-      latestResolvedScreenRef.current = null;
-      clearSelection();
-      const measuredSize = resolveMeasuredNativeTerminalSize({
-        layout: layoutRef.current,
-        metrics: metricsRef.current,
-      });
-      const size =
-        measuredSize ??
-        (snapshot ? { rows: snapshot.rows, cols: snapshot.cols } : terminalSizeRef.current);
-      terminalSizeRef.current = size;
-      resizePolicyRef.current = createTerminalResizePolicy(size);
-      outputDecoderRef.current.decode();
-      const terminal = createNativeHeadlessTerminal({
-        rows: size.rows,
-        cols: size.cols,
-        scrollbackLines,
-      });
-      terminalRef.current = terminal;
-      screenModelRef.current = createNativeTerminalScreenModel({ terminal });
-      const outputDrain = createOutputDrain(terminal);
-      outputDrainRef.current = outputDrain;
-      const screen = snapshot
-        ? screenStateFromViewport(viewportStateFromSnapshot(snapshot))
-        : resolveTerminalScreen(terminal);
-      commitTerminalScreen(screen);
-      resetInputModeTracker();
-      if (snapshot) {
-        outputDrain.restoreSnapshot(snapshot);
-      }
-    },
-    [
-      commitTerminalScreen,
-      createOutputDrain,
-      resetInputModeTracker,
-      resolveTerminalScreen,
+  const resetTerminal = useCallback(() => {
+    outputDrainRef.current?.dispose();
+    outputDrainRef.current = null;
+    terminalRef.current?.dispose();
+    screenModelRef.current = null;
+    latestResolvedScreenRef.current = null;
+    clearSelection();
+    const measuredSize = resolveMeasuredNativeTerminalSize({
+      layout: layoutRef.current,
+      metrics: metricsRef.current,
+    });
+    const size = measuredSize ?? terminalSizeRef.current;
+    terminalSizeRef.current = size;
+    resizePolicyRef.current = createTerminalResizePolicy(size);
+    outputDecoderRef.current.decode();
+    const terminal = createNativeHeadlessTerminal({
+      rows: size.rows,
+      cols: size.cols,
       scrollbackLines,
-      clearSelection,
-    ],
-  );
+    });
+    terminalRef.current = terminal;
+    screenModelRef.current = createNativeTerminalScreenModel({ terminal });
+    const outputDrain = createOutputDrain(terminal);
+    outputDrainRef.current = outputDrain;
+    const screen = resolveTerminalScreen(terminal);
+    commitTerminalScreen(screen);
+    resetInputModeTracker();
+  }, [
+    commitTerminalScreen,
+    createOutputDrain,
+    resetInputModeTracker,
+    resolveTerminalScreen,
+    scrollbackLines,
+    clearSelection,
+  ]);
 
   const enqueueOutputText = useCallback((text: string) => {
     if (text.length === 0) {
@@ -509,27 +457,6 @@ function NativeTerminalEmulator({
         enqueueOutputText(text);
       },
       replay: (event) => outputDrainRef.current?.replay(event),
-      restoreOutput: (data: TerminalOutputData) => {
-        outputDecoderRef.current.decode();
-        resetInputModeTracker();
-        const text = outputDecoderRef.current.decode(data, { stream: false });
-        outputDrainRef.current?.restoreText(text);
-      },
-      renderSnapshot: (state: TerminalState | null) => {
-        outputDecoderRef.current.decode();
-        resetInputModeTracker();
-        if (!state) {
-          resetTerminal(null);
-          return;
-        }
-        clearSelection();
-        const outputDrain = outputDrainRef.current;
-        if (!outputDrain) {
-          resetTerminal(state);
-          return;
-        }
-        outputDrain.restoreSnapshot(state);
-      },
       paste: (text: string) => {
         if (text.length === 0) {
           return;
@@ -560,7 +487,6 @@ function NativeTerminalEmulator({
         screenModelRef.current?.reset();
         clearSelection();
         resetInputModeTracker();
-        terminalRef.current?.reset();
         schedulePaint();
       },
       claimSize: claimActiveTerminalSize,
@@ -579,14 +505,13 @@ function NativeTerminalEmulator({
       claimActiveTerminalSizeForAction,
       clearSelection,
       resetInputModeTracker,
-      resetTerminal,
       schedulePaint,
     ],
   );
 
   useEffect(() => {
     hasNotifiedMeasuredSizeRef.current = false;
-    resetTerminal(mountInputRef.current.initialSnapshot);
+    resetTerminal();
     callbacksRef.current.onRendererReadyChange?.({ streamKey, isReady: true });
     return () => {
       callbacksRef.current.onRendererReadyChange?.({ streamKey, isReady: false });
diff --git a/packages/app/src/components/terminal-emulator.tsx b/packages/app/src/components/terminal-emulator.tsx
index 00e76d95db..fa6ac9faba 100644
--- a/packages/app/src/components/terminal-emulator.tsx
+++ b/packages/app/src/components/terminal-emulator.tsx
@@ -19,7 +19,6 @@ import type { DOMProps } from "expo/dom";
 import { useDOMImperativeHandle, type DOMImperativeFactory } from "expo/dom";
 import "@xterm/xterm/css/xterm.css";
 import type { ITheme } from "@xterm/xterm";
-import type { TerminalState } from "@getpaseo/protocol/messages";
 import type { TerminalInputModeState } from "@getpaseo/protocol/terminal-input-mode";
 import type { PendingTerminalModifiers } from "../utils/terminal-keys";
 import {
@@ -41,8 +40,6 @@ export interface TerminalEmulatorHandle {
   find?: TerminalFindHandle;
   writeOutput: (data: TerminalOutputData) => void;
   replay: (event: import("@getpaseo/client").TerminalReplayEvent) => void;
-  restoreOutput: (data: TerminalOutputData) => void;
-  renderSnapshot: (state: TerminalState | null) => void;
   paste: (text: string) => void;
   copySelection: (clipboard: TerminalClipboardWriter) => Promise<string>;
   clear: () => void;
@@ -109,7 +106,6 @@ interface TerminalEmulatorProps {
   swipeGesturesEnabled?: boolean;
   onSwipeLeft?: () => void;
   onSwipeRight?: () => void;
-  initialSnapshot?: TerminalState | null;
   onFindRequest?: () => void;
   onFindResult?: (result: TerminalFindResult) => void;
   onInput?: (data: string) => Promise<void> | void;
@@ -148,16 +144,6 @@ declare global {
   interface Window {}
 }
 
-function isTerminalState(value: unknown): value is TerminalState {
-  return (
-    typeof value === "object" &&
-    value !== null &&
-    "rows" in value &&
-    "cols" in value &&
-    "grid" in value
-  );
-}
-
 export default function TerminalEmulator({
   ref,
   streamKey,
@@ -173,7 +159,6 @@ export default function TerminalEmulator({
   swipeGesturesEnabled = false,
   onSwipeLeft,
   onSwipeRight,
-  initialSnapshot = null,
   onFindRequest,
   onFindResult,
   onInput,
@@ -229,8 +214,6 @@ export default function TerminalEmulator({
     onOpenLocalFileLink,
     onFilePaste,
   };
-  const initialSnapshotRef = useRef(initialSnapshot);
-  initialSnapshotRef.current = initialSnapshot;
   const pendingModifiersRef = useRef(pendingModifiers);
   pendingModifiersRef.current = pendingModifiers;
 
@@ -266,18 +249,6 @@ export default function TerminalEmulator({
             cols: typeof event.cols === "number" ? event.cols : undefined,
           });
       },
-      restoreOutput: (...args) => {
-        const data = args[0];
-        if (data instanceof Uint8Array) runtimeRef.current?.restoreOutput({ data });
-      },
-      renderSnapshot: (...args) => {
-        const state = args[0];
-        if (state === null) {
-          runtimeRef.current?.renderSnapshot({ state: null });
-        } else if (isTerminalState(state)) {
-          runtimeRef.current?.renderSnapshot({ state });
-        }
-      },
       paste: (...args) => {
         const text = args[0];
         if (typeof text === "string" && text.length > 0) {
@@ -313,12 +284,6 @@ export default function TerminalEmulator({
         runtimeRef.current?.write({ data });
       },
       replay: (event) => runtimeRef.current?.replay(event),
-      restoreOutput: (data: TerminalOutputData) => {
-        runtimeRef.current?.restoreOutput({ data });
-      },
-      renderSnapshot: (state: TerminalState | null) => {
-        runtimeRef.current?.renderSnapshot({ state });
-      },
       paste: (text: string) => {
         pasteText(text);
       },
@@ -485,7 +450,6 @@ export default function TerminalEmulator({
     runtime.mount({
       root,
       host,
-      initialSnapshot: initialSnapshotRef.current,
       scrollback: scrollbackLinesRef.current,
       theme: mountedThemeRef.current,
       fontFamily: fontFamilyRef.current,
diff --git a/packages/app/src/i18n/resources/ar.ts b/packages/app/src/i18n/resources/ar.ts
index 1cb6f0da06..c5ff5ecdbb 100644
--- a/packages/app/src/i18n/resources/ar.ts
+++ b/packages/app/src/i18n/resources/ar.ts
@@ -617,6 +617,7 @@ export const ar: TranslationResources = {
     terminal: {
       hostDisconnected: "Host غير متصل",
       updateHost: "حدّث المضيف لاستخدام عارض الطرفية الأصلي.",
+      restoreRequiresUpdate: "حدّث المضيف لعرض الطرفيات.",
       unableToSubscribe: "غير قادر على الاشتراك في المحطة",
       fileUploaded: "تم رفع الملف",
       pasteFileFailed: "تعذر لصق الملف: {{reason}}",
diff --git a/packages/app/src/i18n/resources/en.ts b/packages/app/src/i18n/resources/en.ts
index 0511af34e2..33adbf4b31 100644
--- a/packages/app/src/i18n/resources/en.ts
+++ b/packages/app/src/i18n/resources/en.ts
@@ -614,6 +614,7 @@ export const en = {
     terminal: {
       hostDisconnected: "Host is not connected",
       updateHost: "Update the host to use the native terminal renderer.",
+      restoreRequiresUpdate: "Update the host to view terminals.",
       unableToSubscribe: "Unable to subscribe to terminal",
       fileUploaded: "File uploaded",
       pasteFileFailed: "Failed to paste file: {{reason}}",
diff --git a/packages/app/src/i18n/resources/es.ts b/packages/app/src/i18n/resources/es.ts
index ffe9cedc1e..1c81ba506d 100644
--- a/packages/app/src/i18n/resources/es.ts
+++ b/packages/app/src/i18n/resources/es.ts
@@ -623,6 +623,7 @@ export const es: TranslationResources = {
     terminal: {
       hostDisconnected: "Hostno está conectado",
       updateHost: "Actualiza el host para usar el renderizador de terminal nativo.",
+      restoreRequiresUpdate: "Actualiza el host para ver las terminales.",
       unableToSubscribe: "No se puede suscribir al terminal",
       fileUploaded: "Archivo subido",
       pasteFileFailed: "No se pudo pegar el archivo: {{reason}}",
diff --git a/packages/app/src/i18n/resources/fr.ts b/packages/app/src/i18n/resources/fr.ts
index 6c9df18211..f9d5f308a6 100644
--- a/packages/app/src/i18n/resources/fr.ts
+++ b/packages/app/src/i18n/resources/fr.ts
@@ -623,6 +623,7 @@ export const fr: TranslationResources = {
     terminal: {
       hostDisconnected: "L’hôte n’est pas connecté",
       updateHost: "Mettez à jour l’hôte pour utiliser le rendu natif du terminal.",
+      restoreRequiresUpdate: "Mettez à jour l’hôte pour afficher les terminaux.",
       unableToSubscribe: "Impossible de s’abonner au terminal",
       fileUploaded: "Fichier envoyé",
       pasteFileFailed: "Impossible de coller le fichier : {{reason}}",
diff --git a/packages/app/src/i18n/resources/ja.ts b/packages/app/src/i18n/resources/ja.ts
index dd214ebac9..c425b260c0 100644
--- a/packages/app/src/i18n/resources/ja.ts
+++ b/packages/app/src/i18n/resources/ja.ts
@@ -623,6 +623,7 @@ export const ja: TranslationResources = {
     terminal: {
       hostDisconnected: "ホストが接続されていません",
       updateHost: "ネイティブターミナルを使用するにはホストを更新してください。",
+      restoreRequiresUpdate: "ターミナルを表示するにはホストを更新してください。",
       unableToSubscribe: "ターミナルに接続できません",
       fileUploaded: "ファイルをアップロードしました",
       pasteFileFailed: "ファイルを貼り付けられませんでした: {{reason}}",
diff --git a/packages/app/src/i18n/resources/ko.ts b/packages/app/src/i18n/resources/ko.ts
index d30635b2a5..1e697d6869 100644
--- a/packages/app/src/i18n/resources/ko.ts
+++ b/packages/app/src/i18n/resources/ko.ts
@@ -618,6 +618,7 @@ export const ko: TranslationResources = {
     terminal: {
       hostDisconnected: "호스트가 연결되어 있지 않습니다",
       updateHost: "기본 터미널 렌더러를 사용하도록 호스트를 업데이트합니다.",
+      restoreRequiresUpdate: "터미널을 보려면 호스트를 업데이트하세요.",
       unableToSubscribe: "터미널을 구독할 수 없습니다",
       fileUploaded: "파일을 업로드했습니다",
       pasteFileFailed: "파일을 붙여넣지 못했습니다: {{reason}}",
diff --git a/packages/app/src/i18n/resources/pt-BR.ts b/packages/app/src/i18n/resources/pt-BR.ts
index 1d9ce0cb95..3edfbd9f12 100644
--- a/packages/app/src/i18n/resources/pt-BR.ts
+++ b/packages/app/src/i18n/resources/pt-BR.ts
@@ -622,6 +622,7 @@ export const ptBR: TranslationResources = {
     terminal: {
       hostDisconnected: "Host não está conectado",
       updateHost: "Atualize o host para usar o renderizador de terminal nativo.",
+      restoreRequiresUpdate: "Atualize o host para visualizar os terminais.",
       unableToSubscribe: "Não foi possível assinar o terminal",
       fileUploaded: "Arquivo enviado",
       pasteFileFailed: "Falha ao colar o arquivo: {{reason}}",
diff --git a/packages/app/src/i18n/resources/ru.ts b/packages/app/src/i18n/resources/ru.ts
index 766f8bdae7..bf61ec805e 100644
--- a/packages/app/src/i18n/resources/ru.ts
+++ b/packages/app/src/i18n/resources/ru.ts
@@ -624,6 +624,7 @@ export const ru: TranslationResources = {
     terminal: {
       hostDisconnected: "Хост не подключён",
       updateHost: "Обновите хост, чтобы использовать нативный рендерер терминала.",
+      restoreRequiresUpdate: "Обновите хост, чтобы просматривать терминалы.",
       unableToSubscribe: "Не удалось подключиться к терминалу",
       fileUploaded: "Файл загружен",
       pasteFileFailed: "Не удалось вставить файл: {{reason}}",
diff --git a/packages/app/src/i18n/resources/zh-CN.ts b/packages/app/src/i18n/resources/zh-CN.ts
index 64867d7d21..e31add4403 100644
--- a/packages/app/src/i18n/resources/zh-CN.ts
+++ b/packages/app/src/i18n/resources/zh-CN.ts
@@ -617,6 +617,7 @@ export const zhCN: TranslationResources = {
     terminal: {
       hostDisconnected: "Host 未连接",
       updateHost: "请更新主机以使用原生终端渲染器。",
+      restoreRequiresUpdate: "更新主机以查看终端。",
       unableToSubscribe: "无法订阅 Terminal",
       fileUploaded: "文件已上传",
       pasteFileFailed: "无法粘贴文件：{{reason}}",
diff --git a/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.test.ts b/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.test.ts
index 2a324ef425..038c91f650 100644
--- a/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.test.ts
+++ b/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.test.ts
@@ -1,3 +1,4 @@
+import { createTerminalResizePolicy, updateTerminalResizePolicy } from "./terminal-resize-policy";
 import { describe, expect, test } from "vitest";
 
 import {
@@ -11,7 +12,7 @@ import {
   NATIVE_TERMINAL_PARSE_CHUNK_CHARS,
 } from "./headless-terminal-output-drain";
 import { createNativeTerminalScreenModel, type TerminalScreenState } from "./terminal-screen-model";
-import { renderTerminalSnapshotToAnsi } from "../runtime/terminal-snapshot";
+import { renderTerminalSnapshotToAnsi } from "@getpaseo/protocol/terminal-snapshot";
 
 const ROWS = 12;
 const COLS = 80;
@@ -94,6 +95,7 @@ function createScreenRestorer(
   const frameRecorder = createFrameRecorder();
   let screen: TerminalScreenState | null = null;
   const drain = createNativeTerminalOutputDrain({
+    restoreSize: () => {},
     write: (chunk) => terminal.write(chunk),
     reset: () => terminal.reset(),
     getViewportState: () => {
@@ -107,7 +109,12 @@ function createScreenRestorer(
 
   return {
     async restore(snapshot: Awaited<ReturnType<typeof benchmarkSnapshot>>) {
-      drain.restoreSnapshot(snapshot);
+      drain.replay({ type: "begin", rows: snapshot.rows, cols: snapshot.cols });
+      drain.replay({
+        type: "data",
+        data: new TextEncoder().encode(renderTerminalSnapshotToAnsi(snapshot)),
+      });
+      drain.replay({ type: "end" });
       await drain.flush();
       frameRecorder.frames[0]?.();
       return screen;
@@ -122,6 +129,7 @@ describe("native terminal output drain", () => {
     const frameRecorder = createFrameRecorder();
     const payload = "x".repeat(NATIVE_TERMINAL_PARSE_CHUNK_CHARS * 2);
     const drain = createNativeTerminalOutputDrain({
+      restoreSize: () => {},
       write: async (chunk) => {
         writes.push(chunk);
       },
@@ -170,6 +178,7 @@ describe("native terminal output drain", () => {
     const paintedStates: TerminalViewportState[] = [];
     const frameRecorder = createFrameRecorder();
     const drain = createNativeTerminalOutputDrain({
+      restoreSize: () => {},
       write: (chunk) => terminal.write(chunk),
       reset: () => terminal.reset(),
       getViewportState: () => terminal.getViewportState(),
@@ -202,6 +211,7 @@ describe("native terminal output drain", () => {
     const scheduledWork: Array<() => void> = [];
     const frameRecorder = createFrameRecorder();
     const drain = createNativeTerminalOutputDrain({
+      restoreSize: () => {},
       write: (chunk) => terminal.write(chunk),
       reset: () => terminal.reset(),
       getViewportState: () => terminal.getViewportState(),
@@ -219,7 +229,12 @@ describe("native terminal output drain", () => {
 
     await terminal.write("old-one\r\nold-two\r\nold-three\r\n");
     drain.enqueueText("stale-queued\r\n");
-    drain.restoreText(renderTerminalSnapshotToAnsi(restoredSnapshot));
+    drain.replay({ type: "begin" });
+    drain.replay({
+      type: "data",
+      data: new TextEncoder().encode(renderTerminalSnapshotToAnsi(restoredSnapshot)),
+    });
+    drain.replay({ type: "end" });
     await runScheduledWork({ callbacks: scheduledWork, flush: drain.flush() });
 
     const state = terminal.getViewportState();
@@ -273,6 +288,7 @@ test("replays split Unicode and ANSI with one reset then live output", async ()
   const terminal = createNativeHeadlessTerminal({ rows: 4, cols: 40, scrollbackLines: 1000 });
   let resets = 0;
   const drain = createNativeTerminalOutputDrain({
+    restoreSize: () => {},
     write: (text) => terminal.write(text),
     reset: (size) => {
       resets++;
@@ -330,6 +346,7 @@ test("an empty replacement replay resets after an in-flight write finishes", asy
   });
   let resets = 0;
   const drain = createNativeTerminalOutputDrain({
+    restoreSize: () => {},
     write: async () => {
       started();
       await blocked;
@@ -354,3 +371,114 @@ test("an empty replacement replay resets after an in-flight write finishes", asy
     drain.dispose();
   }
 });
+
+test("replay geometry returns to measured layout before live writes and unchanged-layout focus", async () => {
+  const measured = { rows: 24, cols: 40 };
+  const terminal = createNativeHeadlessTerminal({ ...measured, scrollbackLines: 1000 });
+  const policy = createTerminalResizePolicy(measured);
+  const sizes: number[] = [];
+  const drain = createNativeTerminalOutputDrain({
+    write: async (text) => {
+      sizes.push(terminal.getState().cols);
+      await terminal.write(text);
+    },
+    reset: (size) => {
+      if (size) terminal.resize(size);
+      terminal.reset();
+    },
+    restoreSize: () => terminal.resize(measured),
+    getViewportState: () => terminal.getViewportState(),
+    onPaint: () => {},
+  });
+  try {
+    drain.replay({ type: "begin", rows: 30, cols: 120 });
+    drain.replay({ type: "data", data: new TextEncoder().encode("x".repeat(100) + "\r\n") });
+    drain.replay({ type: "end" });
+    drain.enqueueText("LIVE-" + "y".repeat(60));
+    await drain.flush();
+    expect(sizes).toEqual([120, 40]);
+    const focus = updateTerminalResizePolicy(policy, {
+      source: "claim",
+      size: measured,
+      claimToken: 1,
+    });
+    expect(focus.measuredSizeChanged).toBe(false);
+    expect(focus.resizeClaim).toMatchObject(measured);
+    expect(terminal.getState()).toMatchObject(measured);
+    expect(terminal.getBufferBounds().cols).toBe(40);
+    const lines = terminal
+      .getState()
+      .grid.map((row) =>
+        row
+          .map((cell) => cell.char)
+          .join("")
+          .trimEnd(),
+      )
+      .join("\n");
+    expect(lines).toContain("LIVE-" + "y".repeat(35) + "\n" + "y".repeat(25));
+  } finally {
+    drain.dispose();
+    terminal.dispose();
+  }
+});
+
+test.each(["clear", "replacement", "dispose"] as const)(
+  "cancels queued replay geometry on %s",
+  async (action) => {
+    const local = { rows: 24, cols: 40 };
+    const terminal = createNativeHeadlessTerminal({ ...local, scrollbackLines: 1000 });
+    let finish!: () => void;
+    const block = new Promise<void>((resolve) => {
+      finish = resolve;
+    });
+    let started!: () => void;
+    const writing = new Promise<void>((resolve) => {
+      started = resolve;
+    });
+    let first = true;
+    let restores = 0;
+    const drain = createNativeTerminalOutputDrain({
+      restoreSize: () => {
+        restores++;
+        terminal.resize(local);
+      },
+      reset: (size) => {
+        if (size) terminal.resize(size);
+        terminal.reset();
+      },
+      write: async (text) => {
+        await terminal.write(text);
+        if (first) {
+          first = false;
+          started();
+          await block;
+        }
+      },
+      getViewportState: () => terminal.getViewportState(),
+      onPaint: () => {},
+    });
+    try {
+      drain.replay({ type: "begin", rows: 30, cols: 120 });
+      drain.replay({ type: "data", data: new TextEncoder().encode("old") });
+      await writing;
+      drain.replay({ type: "end" });
+      if (action === "clear") drain.clear();
+      else if (action === "dispose") {
+        drain.dispose();
+        drain.clear();
+      } else {
+        drain.replay({ type: "begin", rows: 20, cols: 80 });
+        drain.replay({ type: "data", data: new TextEncoder().encode("new") });
+        drain.replay({ type: "end" });
+      }
+      finish();
+      await drain.flush();
+      expect(restores).toBe(action === "dispose" ? 0 : 1);
+      if (action !== "dispose") expect(terminal.getState()).toMatchObject(local);
+    } finally {
+      finish();
+      drain.dispose();
+      terminal.dispose();
+    }
+  },
+);
diff --git a/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.ts b/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.ts
index 80a8c752a0..d637894526 100644
--- a/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.ts
+++ b/packages/app/src/terminal/native-renderer/headless-terminal-output-drain.ts
@@ -1,5 +1,3 @@
-import type { TerminalState } from "@getpaseo/protocol/messages";
-import { renderTerminalSnapshotToAnsi } from "../runtime/terminal-snapshot";
 import type { TerminalViewportState } from "./headless-terminal-state";
 import { nativeTerminalPerformanceNow } from "./terminal-performance";
 
@@ -16,8 +14,6 @@ export interface NativeTerminalParseSample {
 export interface NativeTerminalOutputDrain {
   replay(event: import("@getpaseo/client").TerminalReplayEvent): void;
   enqueueText(text: string): void;
-  restoreText(text: string): void;
-  restoreSnapshot(snapshot: TerminalState): void;
   clear(): void;
   flush(): Promise<void>;
   dispose(): void;
@@ -26,6 +22,7 @@ export interface NativeTerminalOutputDrain {
 
 export interface NativeTerminalOutputDrainOptions {
   write: (chunk: string) => Promise<void>;
+  restoreSize: () => void;
   reset: (size?: { rows: number; cols: number }) => void;
   getViewportState: () => TerminalViewportState | null;
   onPaint: (state: TerminalViewportState) => void;
@@ -69,18 +66,21 @@ export function createNativeTerminalOutputDrain(
   const chunkChars = options.chunkChars ?? NATIVE_TERMINAL_PARSE_CHUNK_CHARS;
   const chunksPerTurn = options.chunksPerTurn ?? NATIVE_TERMINAL_PARSE_CHUNKS_PER_TURN;
   const idleWaiters: Array<() => void> = [];
-  let pendingText = "";
+  type Operation =
+    | { type: "write"; text: string }
+    | { type: "reset"; size?: { rows: number; cols: number } }
+    | { type: "restore-size" };
+  let operations: Operation[] = [];
+  let queuedChars = 0;
   let drainScheduled = false;
   let draining = false;
   let disposed = false;
   let paintFrame: number | null = null;
   let generation = 0;
-  let resetBeforeNextWrite = false;
-  let replaySize: { rows: number; cols: number } | undefined;
   const replayDecoder = new TextDecoder();
 
   function resolveIdleIfReady(): void {
-    if (drainScheduled || draining || pendingText.length > 0 || resetBeforeNextWrite) {
+    if (drainScheduled || draining || operations.length > 0) {
       return;
     }
     while (idleWaiters.length > 0) {
@@ -122,15 +122,6 @@ export function createNativeTerminalOutputDrain(
     });
   }
 
-  function replacePendingText(text: string): void {
-    generation += 1;
-    pendingText = text;
-    resetBeforeNextWrite = true;
-    cancelPendingPaint();
-    scheduleDrain();
-    resolveIdleIfReady();
-  }
-
   async function drainPending(): Promise<void> {
     if (disposed || draining) {
       return;
@@ -141,18 +132,20 @@ export function createNativeTerminalOutputDrain(
     let parsedChunks = 0;
 
     try {
-      if (resetBeforeNextWrite) {
-        options.reset(replaySize);
-        replaySize = undefined;
-        resetBeforeNextWrite = false;
-        requestPaint();
-      }
-      while (pendingText.length > 0 && parsedChunks < chunksPerTurn) {
-        if (disposed || activeGeneration !== generation) {
-          return;
+      while (operations.length > 0 && parsedChunks < chunksPerTurn) {
+        if (disposed || activeGeneration !== generation) return;
+        const operation = operations[0]!;
+        if (operation.type !== "write") {
+          operations.shift();
+          if (operation.type === "reset") options.reset(operation.size);
+          else options.restoreSize();
+          requestPaint();
+          continue;
         }
-        const chunk = pendingText.slice(0, chunkChars);
-        pendingText = pendingText.slice(chunk.length);
+        const chunk = operation.text.slice(0, chunkChars);
+        operation.text = operation.text.slice(chunk.length);
+        queuedChars -= chunk.length;
+        if (!operation.text) operations.shift();
         const parseStart = nativeTerminalPerformanceNow();
         await options.write(chunk);
         if (disposed || activeGeneration !== generation) {
@@ -161,14 +154,14 @@ export function createNativeTerminalOutputDrain(
         options.onParse?.({
           durationMs: nativeTerminalPerformanceNow() - parseStart,
           parsedChars: chunk.length,
-          queuedChars: pendingText.length,
+          queuedChars,
         });
         requestPaint();
         parsedChunks += 1;
       }
     } finally {
       draining = false;
-      if (!disposed && (pendingText.length > 0 || resetBeforeNextWrite)) {
+      if (!disposed && operations.length > 0) {
         scheduleDrain();
       }
       resolveIdleIfReady();
@@ -177,48 +170,48 @@ export function createNativeTerminalOutputDrain(
 
   return {
     replay(event): void {
+      if (disposed) return;
       if (event.type === "begin") {
+        generation++;
         replayDecoder.decode();
-        replaySize = event.rows && event.cols ? { rows: event.rows, cols: event.cols } : undefined;
-        replacePendingText("");
+        operations = [
+          {
+            type: "reset",
+            size: event.rows && event.cols ? { rows: event.rows, cols: event.cols } : undefined,
+          },
+        ];
+        queuedChars = 0;
+        cancelPendingPaint();
       } else if (event.type === "data") {
         this.enqueueText(replayDecoder.decode(event.data, { stream: true }));
       } else {
         this.enqueueText(replayDecoder.decode());
+        operations.push({ type: "restore-size" });
       }
+      scheduleDrain();
     },
     enqueueText(text: string): void {
-      if (disposed || text.length === 0) {
-        return;
-      }
-      pendingText += text;
+      if (disposed || !text) return;
+      const last = operations.at(-1);
+      if (last?.type === "write") last.text += text;
+      else operations.push({ type: "write", text });
+      queuedChars += text.length;
       scheduleDrain();
     },
 
-    restoreText(text: string): void {
-      if (disposed) {
-        return;
-      }
-      replacePendingText(text);
-    },
-
-    restoreSnapshot(snapshot: TerminalState): void {
-      if (disposed) {
-        return;
-      }
-      replacePendingText(renderTerminalSnapshotToAnsi(snapshot));
-    },
-
     clear(): void {
+      if (disposed) return;
       generation += 1;
-      pendingText = "";
-      resetBeforeNextWrite = false;
+      operations = [{ type: "restore-size" }, { type: "reset" }];
+      queuedChars = 0;
+      replayDecoder.decode();
       cancelPendingPaint();
+      scheduleDrain();
       resolveIdleIfReady();
     },
 
     flush(): Promise<void> {
-      if (!drainScheduled && !draining && pendingText.length === 0 && !resetBeforeNextWrite) {
+      if (!drainScheduled && !draining && operations.length === 0) {
         return Promise.resolve();
       }
       scheduleDrain();
@@ -230,8 +223,8 @@ export function createNativeTerminalOutputDrain(
     dispose(): void {
       disposed = true;
       generation += 1;
-      pendingText = "";
-      resetBeforeNextWrite = false;
+      operations = [];
+      queuedChars = 0;
       cancelPendingPaint();
       while (idleWaiters.length > 0) {
         idleWaiters.shift()?.();
@@ -239,7 +232,7 @@ export function createNativeTerminalOutputDrain(
     },
 
     getQueuedChars(): number {
-      return pendingText.length;
+      return queuedChars;
     },
   };
 }
diff --git a/packages/app/src/terminal/runtime/terminal-emulator-runtime.browser.test.ts b/packages/app/src/terminal/runtime/terminal-emulator-runtime.browser.test.ts
index dd79a77e79..cd148b9f9b 100644
--- a/packages/app/src/terminal/runtime/terminal-emulator-runtime.browser.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-emulator-runtime.browser.test.ts
@@ -166,7 +166,6 @@ function createTerminalHost(input: CreateTerminalHostInput): MountedTerminal {
   runtime.mount({
     root,
     host,
-    initialSnapshot: null,
     scrollback: input.scrollback ?? 10_000,
     theme: {
       background: "#0b0b0b",
@@ -750,30 +749,11 @@ describe("terminal emulator runtime in a real browser", () => {
     const reset = vi.fn(originalReset);
     terminal.reset = reset;
 
-    mounted.runtime.renderSnapshot({
-      state: {
-        rows: terminal.rows,
-        cols: terminal.cols,
-        scrollback: [],
-        grid: [
-          [
-            { char: "p" },
-            { char: "r" },
-            { char: "o" },
-            { char: "m" },
-            { char: "p" },
-            { char: "t" },
-          ],
-        ],
-        cursor: {
-          row: 0,
-          col: 6,
-        },
-      },
-    });
-    await nextFrame();
-
+    mounted.runtime.replay({ type: "begin", rows: terminal.rows, cols: terminal.cols });
+    mounted.runtime.replay({ type: "data", data: terminalOutput("prompt") });
+    mounted.runtime.replay({ type: "end" });
     expect(reset).not.toHaveBeenCalled();
+    await nextFrame();
   });
 
   it("opens OSC 8 hyperlinks the same way as plain-text URLs", async () => {
@@ -810,7 +790,6 @@ describe("incremental replay lifecycle", () => {
         mounted.runtime.mount({
           root: mounted.root,
           host: mounted.host,
-          initialSnapshot: null,
           scrollback: 1000,
           theme: {},
         });
@@ -840,3 +819,20 @@ describe("incremental replay lifecycle", () => {
     expect(mounted.inputs[0]?.startsWith("\x1b]4;1;rgb:")).toBe(true);
   });
 });
+
+it("restores fitted web geometry after replay before live output", async () => {
+  const mounted = createTerminalHost({ width: 720, height: 360 });
+  await settleMountRefits();
+  const local = latestSize(mounted.sizes);
+  mounted.runtime.replay({ type: "begin", rows: 30, cols: 120 });
+  mounted.runtime.replay({ type: "data", data: terminalOutput("x".repeat(100)) });
+  mounted.runtime.replay({ type: "end" });
+  await new Promise<void>((resolve) =>
+    mounted.runtime.write({ data: terminalOutput("LIVE"), onCommitted: resolve }),
+  );
+  expect(getBrowserTerminal().cols).toBe(latestSize(mounted.sizes).cols);
+  expect(getBrowserTerminal().cols).toBeLessThan(120);
+  expect(getBrowserTerminal().rows).toBe(local.rows);
+  mounted.runtime.resize({ forceClaim: true, shouldClaim: true });
+  expect(getBrowserTerminal().cols).toBe(latestSize(mounted.sizes).cols);
+});
diff --git a/packages/app/src/terminal/runtime/terminal-emulator-runtime.test.ts b/packages/app/src/terminal/runtime/terminal-emulator-runtime.test.ts
index a11cedbfe2..a6939aaecb 100644
--- a/packages/app/src/terminal/runtime/terminal-emulator-runtime.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-emulator-runtime.test.ts
@@ -302,25 +302,14 @@ describe("terminal-emulator-runtime", () => {
     expect(committed).toEqual(["first", "second", "clear", "third"]);
   });
 
-  it("falls back to timeout commit for a barrier op when the gate sentinel never fires", () => {
+  it("unblocks queued replay writes if a begin barrier never commits", () => {
     vi.useFakeTimers();
-    const { runtime, terminal } = createRuntimeWithTerminal();
-    const onCommitted = vi.fn();
-
-    // restoreOutput is a barrier; if xterm never commits the gate sentinel, the barrier still
-    // applies (and commits) after the 5s safety timeout instead of stalling forever.
-    runtime.restoreOutput({
-      data: terminalOutput("stuck"),
-      onCommitted,
-    });
-
-    expect(onCommitted).not.toHaveBeenCalled();
-    expect(terminal.resetCalls).toBe(0);
-    vi.advanceTimersByTime(5_000);
-    // The barrier now runs (write submitted) but its own commit still waits on xterm; advance
-    // again to fire the barrier's own write timeout.
-    vi.advanceTimersByTime(5_000);
-    expect(onCommitted).toHaveBeenCalledTimes(1);
+    const { runtime, writeTexts } = createRuntimeWithTerminal();
+    runtime.replay({ type: "begin" });
+    runtime.replay({ type: "data", data: terminalOutput("stuck") });
+    expect(writeTexts).toEqual(["\x1bc"]);
+    vi.advanceTimersByTime(5000);
+    expect(writeTexts).toEqual(["\x1bc", "stuck"]);
   });
 
   it("reports input mode changes from terminal output and resets them on snapshots", () => {
@@ -343,18 +332,7 @@ describe("terminal-emulator-runtime", () => {
     });
 
     runtime.write({ data: terminalOutput("\x1b[>7u") });
-    runtime.renderSnapshot({
-      state: {
-        rows: 2,
-        cols: 8,
-        scrollback: [],
-        grid: [[{ char: "$" }, { char: " " }]],
-        cursor: {
-          row: 0,
-          col: 2,
-        },
-      },
-    });
+    runtime.replay({ type: "begin", rows: 2, cols: 8 });
     // The plain write reports kitty flags synchronously during drain; the snapshot resets
     // them only after its barrier gate (the sentinel write callback) resolves.
     expect(inputModeChanges).toEqual([
@@ -410,40 +388,18 @@ describe("terminal-emulator-runtime", () => {
     expect(committed).toEqual(["second", "first"]);
   });
 
-  it("applies a snapshot after the writes ahead of it, never interleaving the reset", () => {
+  it("keeps replay reset and data after preceding writes, without interleaving", () => {
     const { runtime, terminal, writeTexts, writeCallbacks } = createRuntimeWithTerminal();
-    const committed: string[] = [];
-
-    runtime.write({
-      data: terminalOutput("before-a"),
-      onCommitted: () => {
-        committed.push("before-a");
-      },
-    });
-    runtime.write({
-      data: terminalOutput("before-b"),
-      onCommitted: () => {
-        committed.push("before-b");
-      },
-    });
-    runtime.restoreOutput({
-      data: terminalOutput("snap"),
-      onCommitted: () => {
-        committed.push("snap");
-      },
-    });
-
-    // Plain writes are submitted up front; the snapshot's reset+write has not run yet.
+    runtime.write({ data: terminalOutput("before-a") });
+    runtime.write({ data: terminalOutput("before-b") });
+    runtime.replay({ type: "begin" });
+    runtime.replay({ type: "data", data: terminalOutput("snap") });
+    runtime.replay({ type: "end" });
     expect(writeTexts).toEqual(["before-a", "before-b"]);
-
-    // writeCallbacks: [0]=before-a, [1]=before-b, [2]=barrier gate sentinel.
-    // The snapshot is gated behind the prior writes; resolving the gate runs it after them.
     writeCallbacks[2]?.();
-    expect(writeTexts).toEqual(["before-a", "before-b", "csnap"]);
-
-    // Snapshot commit fires only after its own write callback, strictly after the writes.
+    expect(writeTexts).toEqual(["before-a", "before-b", "\x1bc"]);
     writeCallbacks[3]?.();
-    expect(committed).toEqual(["snap"]);
+    expect(writeTexts).toEqual(["before-a", "before-b", "\x1bc", "snap"]);
     expect(terminal.resetCalls).toBe(0);
   });
 
@@ -456,7 +412,7 @@ describe("terminal-emulator-runtime", () => {
 
     // No plain writes precede this barrier (mount), so there is nothing to gate: it starts
     // at once with no sentinel, flipping suppressInput synchronously.
-    runtime.restoreOutput({ data: terminalOutput("snapshot") });
+    runtime.replay({ type: "begin" });
     expect(readSuppressInput()).toBe(true);
 
     // writeCallbacks[0] is the barrier's own snapshot write; committing it restores input.
@@ -471,7 +427,7 @@ describe("terminal-emulator-runtime", () => {
 
     // A plain write is now ungated, so the following barrier must wait on the sentinel.
     runtime.write({ data: terminalOutput("output") });
-    runtime.restoreOutput({ data: terminalOutput("snapshot") });
+    runtime.replay({ type: "begin" });
 
     // The plain write commits first. Only the following sentinel opens the barrier.
     expect(readSuppressInput()).toBe(false);
@@ -505,57 +461,40 @@ describe("terminal-emulator-runtime", () => {
     expect(onCommittedB).toHaveBeenCalledTimes(1);
   });
 
-  it("clears ungated writes on unmount so remount barriers apply immediately", () => {
+  it("clears ungated writes on unmount so remount replay begins immediately", () => {
     const { runtime } = createRuntimeWithTerminal();
-
     runtime.write({ data: terminalOutput("before unmount") });
     runtime.unmount();
-
     const remounted = attachStubTerminal(runtime);
-    runtime.restoreOutput({ data: terminalOutput("restored screen") });
-
-    expect(remounted.writeTexts).toEqual(["\u001bcrestored screen"]);
-    expect(remounted.writeCallbacks).toHaveLength(1);
+    runtime.replay({ type: "begin" });
+    runtime.replay({ type: "data", data: terminalOutput("restored screen") });
+    expect(remounted.writeTexts).toEqual(["\x1bc"]);
+    remounted.writeCallbacks[0]?.();
+    expect(remounted.writeTexts).toEqual(["\x1bc", "restored screen"]);
   });
 
-  it("replays snapshots through a single write without first painting a reset terminal", () => {
+  it("parses replay chunks serially without synchronously resetting the terminal", () => {
     const { runtime, terminal, writeTexts, writeCallbacks } = createRuntimeWithTerminal();
-
-    runtime.renderSnapshot({
-      state: {
-        rows: 2,
-        cols: 8,
-        scrollback: [],
-        grid: [
-          [{ char: "h" }, { char: "i" }],
-          [{ char: "$" }, { char: " " }],
-        ],
-        cursor: {
-          row: 1,
-          col: 2,
-        },
-      },
-    });
-
-    // The snapshot is a barrier; its write applies after the gate sentinel (writeCallbacks[0]).
-    writeCallbacks[0]?.();
-
+    runtime.replay({ type: "begin", rows: 2, cols: 8 });
+    runtime.replay({ type: "data", data: terminalOutput("hi") });
+    runtime.replay({ type: "data", data: terminalOutput("\r\n$") });
+    runtime.replay({ type: "end" });
     expect(terminal.resetCalls).toBe(0);
-    expect(writeTexts).toHaveLength(1);
-    expect(writeTexts[0]?.startsWith("\u001bc")).toBe(true);
-    expect(writeTexts[0]).toContain("hi");
+    expect(writeTexts).toEqual(["\x1bc"]);
+    writeCallbacks[0]?.();
+    expect(writeTexts).toEqual(["\x1bc", "hi"]);
+    writeCallbacks[1]?.();
+    expect(writeTexts).toEqual(["\x1bc", "hi", "\r\n$"]);
   });
 
-  it("restores server-rendered ANSI snapshots through the snapshot write path", () => {
+  it("restores worker-rendered ANSI through the replay lifecycle", () => {
     const { runtime, terminal, writeTexts, writeCallbacks } = createRuntimeWithTerminal();
-
-    runtime.restoreOutput({ data: terminalOutput("restored screen") });
-
-    // restoreOutput is a barrier (suppressInput); it applies after the gate sentinel.
+    runtime.replay({ type: "begin" });
+    runtime.replay({ type: "data", data: terminalOutput("restored screen") });
+    runtime.replay({ type: "end" });
     writeCallbacks[0]?.();
-
     expect(terminal.resetCalls).toBe(0);
-    expect(writeTexts).toEqual(["\u001bcrestored screen"]);
+    expect(writeTexts).toEqual(["\x1bc", "restored screen"]);
   });
 
   it("forces a refit when resize is requested", () => {
diff --git a/packages/app/src/terminal/runtime/terminal-emulator-runtime.ts b/packages/app/src/terminal/runtime/terminal-emulator-runtime.ts
index ba215ea67b..18f843da48 100644
--- a/packages/app/src/terminal/runtime/terminal-emulator-runtime.ts
+++ b/packages/app/src/terminal/runtime/terminal-emulator-runtime.ts
@@ -7,7 +7,6 @@ import { WebLinksAddon } from "@xterm/addon-web-links";
 import { WebglAddon } from "@xterm/addon-webgl";
 import { LigaturesAddon } from "@xterm/addon-ligatures/lib/addon-ligatures.mjs";
 import { Terminal, type ITheme, type IMarker } from "@xterm/xterm";
-import type { TerminalState } from "@getpaseo/protocol/messages";
 import {
   type TerminalInputModeState,
   TerminalInputModeTracker,
@@ -24,7 +23,6 @@ import {
   resolveMacTerminalEditingShortcut,
   shouldInterceptDomTerminalKey,
 } from "@/utils/terminal-keys";
-import { renderTerminalSnapshotToAnsi } from "./terminal-snapshot";
 import {
   createTerminalLocalFileLinkProvider,
   type TerminalLocalFileLinkSource,
@@ -55,7 +53,6 @@ const FIND_HIGHLIGHT_LIMIT = 20_000;
 export interface TerminalEmulatorRuntimeMountInput {
   root: HTMLDivElement;
   host: HTMLDivElement;
-  initialSnapshot: TerminalState | null;
   scrollback: number;
   theme: ITheme;
   fontFamily?: string;
@@ -134,7 +131,7 @@ interface TerminalEmulatorRuntimeDisposables {
 }
 
 interface TerminalOutputOperation {
-  type: "write" | "clear" | "snapshot";
+  type: "write" | "clear" | "snapshot" | "fit";
   data: TerminalOutputData;
   rows?: number;
   cols?: number;
@@ -777,10 +774,6 @@ export class TerminalEmulatorRuntime {
       fitAndEmitResize({ forceRefresh: true, shouldClaim: false });
     }, 0);
 
-    if (input.initialSnapshot) {
-      this.renderSnapshot({ state: input.initialSnapshot });
-    }
-
     this.processOutputQueue();
 
     const disposables: TerminalEmulatorRuntimeDisposables = {
@@ -898,28 +891,18 @@ export class TerminalEmulatorRuntime {
     onFilePaste?.(file);
   }
 
-  renderSnapshot(input: { state: TerminalState | null; onCommitted?: () => void }): void {
-    if (!input.state) {
-      this.clear(input);
-      return;
-    }
-    this.restoreOutput({
-      data: encodeTerminalOutput(renderTerminalSnapshotToAnsi(input.state)),
-      rows: input.state.rows,
-      cols: input.state.cols,
-      ...(input.onCommitted ? { onCommitted: input.onCommitted } : {}),
-    });
-  }
-
   replay(event: import("@getpaseo/client").TerminalReplayEvent): void {
     if (event.type === "begin") {
       this.restoreOutput({ data: EMPTY_TERMINAL_OUTPUT, rows: event.rows, cols: event.cols });
     } else if (event.type === "data") {
       this.write({ data: event.data, suppressInput: true });
+    } else {
+      this.outputOperations.push({ type: "fit", data: EMPTY_TERMINAL_OUTPUT });
+      this.processOutputQueue();
     }
   }
 
-  restoreOutput(input: {
+  private restoreOutput(input: {
     data: TerminalOutputData;
     rows?: number;
     cols?: number;
@@ -1184,6 +1167,17 @@ export class TerminalEmulatorRuntime {
       this.processOutputQueue();
     };
 
+    if (operation.type === "fit") {
+      // xterm resize flushes its write buffer synchronously. Leave the parser's
+      // commit callback before fitting, or that flush consumes the next write.
+      queueMicrotask(() => {
+        if (this.inFlightOutputOperation !== operation || this.terminal !== terminal) return;
+        this.fitAndEmitResize?.({ shouldClaim: false });
+        finalizeOperation(operation);
+      });
+      return;
+    }
+
     if (operation.type === "clear") {
       this.inputModeDecoder.decode();
       this.inputModeTracker.reset();
diff --git a/packages/app/src/terminal/runtime/terminal-find.browser.test.ts b/packages/app/src/terminal/runtime/terminal-find.browser.test.ts
index 8336925338..84b941a340 100644
--- a/packages/app/src/terminal/runtime/terminal-find.browser.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-find.browser.test.ts
@@ -31,7 +31,6 @@ function mount(options?: { isMac: boolean }) {
   runtime.mount({
     root,
     host,
-    initialSnapshot: null,
     scrollback: 1000,
     theme: { background: "#ffffff", foreground: "#111111" },
   });
diff --git a/packages/app/src/terminal/runtime/terminal-glyph-rendering.browser.test.ts b/packages/app/src/terminal/runtime/terminal-glyph-rendering.browser.test.ts
index 35629f01f8..62a65c6878 100644
--- a/packages/app/src/terminal/runtime/terminal-glyph-rendering.browser.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-glyph-rendering.browser.test.ts
@@ -38,7 +38,6 @@ function mountTerminal(left: number): TerminalView {
   runtime.mount({
     root,
     host,
-    initialSnapshot: null,
     scrollback: 1000,
     fontFamily: "monospace",
     fontSize: 16,
diff --git a/packages/app/src/terminal/runtime/terminal-resize-repro.browser.test.ts b/packages/app/src/terminal/runtime/terminal-resize-repro.browser.test.ts
index 35b3492b71..f9487f74b5 100644
--- a/packages/app/src/terminal/runtime/terminal-resize-repro.browser.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-resize-repro.browser.test.ts
@@ -1,3 +1,4 @@
+import { renderTerminalSnapshotToAnsi } from "@getpaseo/protocol/terminal-snapshot";
 import { page } from "@vitest/browser/context";
 import { afterEach, describe, expect, it } from "vitest";
 import type { TerminalState } from "@getpaseo/protocol/messages";
@@ -57,7 +58,6 @@ function mount(width: number, height: number): Mounted {
   runtime.mount({
     root,
     host,
-    initialSnapshot: null,
     scrollback: 10_000,
     theme: { background: "#0b0b0b", foreground: "#e6e6e6", cursor: "#e6e6e6" },
   });
@@ -90,9 +90,15 @@ function someRowContains(term: InspectableTerminal, text: string): boolean {
   return dumpRows(term).some((r) => r.text.includes(text));
 }
 
-function renderSnapshotCommitted(runtime: TerminalEmulatorRuntime, state: TerminalState) {
+function replayCommitted(runtime: TerminalEmulatorRuntime, state: TerminalState) {
   return new Promise<void>((resolve) => {
-    runtime.renderSnapshot({ state, onCommitted: resolve });
+    runtime.replay({ type: "begin", rows: state.rows, cols: state.cols });
+    runtime.replay({
+      type: "data",
+      data: new TextEncoder().encode(renderTerminalSnapshotToAnsi(state)),
+    });
+    runtime.replay({ type: "end" });
+    runtime.write({ data: new Uint8Array([0]), onCommitted: resolve });
   });
 }
 
@@ -149,7 +155,7 @@ describe("terminal resize reflow repro (Paseo terminal)", () => {
 
     // 1) Mid-stream snapshot arrives (server overflowed 256KB). It carries the
     //    long line wrapped at the server width as separate grid rows.
-    await renderSnapshotCommitted(m.runtime, buildWrappedSnapshot(narrowCols));
+    await replayCommitted(m.runtime, buildWrappedSnapshot(narrowCols));
     await waitFor(() => someRowContains(m.terminal, "[15:30:00.123]"));
 
     // 2) Normal post-snapshot streaming resumes (autowrap on -> soft-wrapped).
diff --git a/packages/app/src/terminal/runtime/terminal-restore-options.test.ts b/packages/app/src/terminal/runtime/terminal-restore-options.test.ts
index 5e88532afc..7e5294b347 100644
--- a/packages/app/src/terminal/runtime/terminal-restore-options.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-restore-options.test.ts
@@ -4,14 +4,14 @@ import { resolveTerminalRestoreOptions } from "./terminal-restore-options";
 
 describe("terminal restore options", () => {
   it("omits restore options for daemons without terminal restore modes", () => {
-    expect(
+    expect(() =>
       resolveTerminalRestoreOptions({
         scrollbackLines: 10000,
         supportsTerminalRestoreModes: false,
         canClaimSize: true,
         size: { rows: 24, cols: 80 },
       }),
-    ).toBeUndefined();
+    ).toThrow("Update the host to view terminals.");
   });
 
   it("requests visible snapshot restore with configured scrollback for capable daemons", () => {
diff --git a/packages/app/src/terminal/runtime/terminal-restore-options.ts b/packages/app/src/terminal/runtime/terminal-restore-options.ts
index aa2601e727..3fcd894eac 100644
--- a/packages/app/src/terminal/runtime/terminal-restore-options.ts
+++ b/packages/app/src/terminal/runtime/terminal-restore-options.ts
@@ -1,3 +1,4 @@
+import { i18n } from "@/i18n/i18next";
 import type { SubscribeTerminalRequest } from "@getpaseo/protocol/messages";
 
 export interface ResolveTerminalRestoreOptionsInput {
@@ -9,9 +10,9 @@ export interface ResolveTerminalRestoreOptionsInput {
 
 export function resolveTerminalRestoreOptions(
   input: ResolveTerminalRestoreOptionsInput,
-): SubscribeTerminalRequest["restore"] | undefined {
+): NonNullable<SubscribeTerminalRequest["restore"]> {
   if (!input.supportsTerminalRestoreModes) {
-    return undefined;
+    throw new Error(i18n.t("workspace.terminal.restoreRequiresUpdate"));
   }
 
   return {
diff --git a/packages/app/src/terminal/runtime/terminal-snapshot.test.ts b/packages/app/src/terminal/runtime/terminal-snapshot.test.ts
index c5fdbbd9fd..220b9d33c2 100644
--- a/packages/app/src/terminal/runtime/terminal-snapshot.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-snapshot.test.ts
@@ -2,7 +2,7 @@ import { Terminal as HeadlessTerminal } from "@xterm/headless";
 import { Terminal as ClientTerminal } from "@xterm/xterm";
 import { describe, expect, it } from "vitest";
 
-import { renderTerminalSnapshotToAnsi } from "./terminal-snapshot";
+import { renderTerminalSnapshotToAnsi } from "@getpaseo/protocol/terminal-snapshot";
 
 interface SnapshotCell {
   char: string;
diff --git a/packages/app/src/terminal/runtime/terminal-snapshot.ts b/packages/app/src/terminal/runtime/terminal-snapshot.ts
deleted file mode 100644
index 4b7a8e0b9b..0000000000
--- a/packages/app/src/terminal/runtime/terminal-snapshot.ts
+++ /dev/null
@@ -1 +0,0 @@
-export { renderTerminalSnapshotToAnsi } from "@getpaseo/protocol/terminal-snapshot";
diff --git a/packages/app/src/terminal/runtime/terminal-stream-controller.test.ts b/packages/app/src/terminal/runtime/terminal-stream-controller.test.ts
index d06575673a..ecd49c6fd5 100644
--- a/packages/app/src/terminal/runtime/terminal-stream-controller.test.ts
+++ b/packages/app/src/terminal/runtime/terminal-stream-controller.test.ts
@@ -1,3 +1,4 @@
+import { resolveTerminalRestoreOptions } from "./terminal-restore-options";
 import type { SessionOutboundMessage } from "@getpaseo/protocol/messages";
 import { describe, expect, it } from "vitest";
 
@@ -283,3 +284,28 @@ it("reports observation failure without declaring the PTY exited, then allows re
   expect(h.statuses.at(-1)?.error).toBe(null);
   h.controller.dispose();
 });
+
+it("does not resize or attach on a JSON-era host and reports the required update", () => {
+  const client = new FakeTerminalStreamClient();
+  const statuses: TerminalStreamControllerStatus[] = [];
+  const controller = new TerminalStreamController({
+    client,
+    getPreferredSize: () => ({ rows: 24, cols: 40 }),
+    onOutput: () => {},
+    getRestoreOptions: () =>
+      resolveTerminalRestoreOptions({
+        supportsTerminalRestoreModes: false,
+        scrollbackLines: 10000,
+        canClaimSize: true,
+        size: { rows: 24, cols: 40 },
+      }),
+    onStatusChange: (status) => statuses.push(status),
+  });
+  controller.setTerminal({ terminalId: "old-host-terminal" });
+  expect(client.subscribeCalls).toEqual([]);
+  expect(client.resizeCalls).toEqual([]);
+  expect(statuses.at(-1)).toMatchObject({
+    isAttaching: false,
+    error: "Update the host to view terminals.",
+  });
+});
diff --git a/packages/app/src/terminal/runtime/terminal-stream-controller.ts b/packages/app/src/terminal/runtime/terminal-stream-controller.ts
index 00a3de1558..b4b166cadf 100644
--- a/packages/app/src/terminal/runtime/terminal-stream-controller.ts
+++ b/packages/app/src/terminal/runtime/terminal-stream-controller.ts
@@ -66,10 +66,10 @@ export class TerminalStreamController {
       this.options.onStatusChange?.({ terminalId: null, isAttaching: false, error: null });
       return;
     }
-    const restore = this.options.getRestoreOptions?.();
     this.options.onStatusChange?.({ terminalId: nextTerminalId, isAttaching: true, error: null });
     let subscription: ReturnType<DaemonClient["observeTerminal"]>;
     try {
+      const restore = this.options.getRestoreOptions?.();
       const preferredSize = restore?.size ?? this.options.getPreferredSize();
       if (preferredSize)
         this.options.client.sendTerminalInput(nextTerminalId, {
diff --git a/packages/app/src/utils/terminal-renderer-readiness.test.ts b/packages/app/src/utils/terminal-renderer-readiness.test.ts
index 45866f8df6..d7e5f71833 100644
--- a/packages/app/src/utils/terminal-renderer-readiness.test.ts
+++ b/packages/app/src/utils/terminal-renderer-readiness.test.ts
@@ -3,7 +3,6 @@ import { describe, expect, it } from "vitest";
 import {
   applyTerminalRendererReadyChange,
   resolveTerminalStreamTarget,
-  shouldReplayTerminalSnapshotForRenderer,
   shouldShowTerminalLoadingOverlay,
 } from "./terminal-renderer-readiness";
 
@@ -74,27 +73,6 @@ describe("terminal-renderer-readiness", () => {
     expect(current).toBeNull();
   });
 
-  it("replays snapshots only for ready events from the current renderer", () => {
-    expect(
-      shouldReplayTerminalSnapshotForRenderer({
-        change: { streamKey: "scope:terminal-1", isReady: true },
-        terminalStreamKey: "scope:terminal-1",
-      }),
-    ).toBe(true);
-    expect(
-      shouldReplayTerminalSnapshotForRenderer({
-        change: { streamKey: "scope:terminal-1", isReady: false },
-        terminalStreamKey: "scope:terminal-1",
-      }),
-    ).toBe(false);
-    expect(
-      shouldReplayTerminalSnapshotForRenderer({
-        change: { streamKey: "scope:terminal-1", isReady: true },
-        terminalStreamKey: "scope:terminal-2",
-      }),
-    ).toBe(false);
-  });
-
   it("does not attach the stream before the matching renderer is ready", () => {
     expect(
       resolveTerminalStreamTarget({
diff --git a/packages/app/src/utils/terminal-renderer-readiness.ts b/packages/app/src/utils/terminal-renderer-readiness.ts
index 7d4f855aba..197a8811f9 100644
--- a/packages/app/src/utils/terminal-renderer-readiness.ts
+++ b/packages/app/src/utils/terminal-renderer-readiness.ts
@@ -14,13 +14,6 @@ export function applyTerminalRendererReadyChange(
   return currentReadyStreamKey === change.streamKey ? null : currentReadyStreamKey;
 }
 
-export function shouldReplayTerminalSnapshotForRenderer(input: {
-  change: TerminalRendererReadyChange;
-  terminalStreamKey: string;
-}): boolean {
-  return input.change.isReady && input.change.streamKey === input.terminalStreamKey;
-}
-
 export function resolveTerminalStreamTarget(input: {
   terminalId: string;
   terminalStreamKey: string;
diff --git a/packages/protocol/src/messages.ts b/packages/protocol/src/messages.ts
index 473c482c3b..d20c91d773 100644
--- a/packages/protocol/src/messages.ts
+++ b/packages/protocol/src/messages.ts
@@ -3740,7 +3740,6 @@ export const ServerInfoStatusPayloadSchema = z
         resumeOnStartupSetting: z.boolean().optional(),
         // COMPAT(terminalRestoreModes): added in v0.1.81, remove gate after 2026-11-23.
         "terminal-restore-modes": z.boolean().optional(),
-        terminalChunkedReplay: z.boolean().optional(),
         // COMPAT(terminalInputModeReplay): added in v0.2.6, remove gate after 2027-02-02.
         "terminal-input-mode-replay": z.boolean().optional(),
         // COMPAT(terminalSizeOwnership): added in v0.2.6, remove gate after 2027-02-02.
diff --git a/packages/server/src/server/daemon-e2e/terminal.e2e.test.ts b/packages/server/src/server/daemon-e2e/terminal.e2e.test.ts
index c7a0382142..11156cd127 100644
--- a/packages/server/src/server/daemon-e2e/terminal.e2e.test.ts
+++ b/packages/server/src/server/daemon-e2e/terminal.e2e.test.ts
@@ -11,7 +11,6 @@ import {
   type WSOutboundMessage,
 } from "@getpaseo/protocol/messages";
 import {
-  decodeTerminalSnapshotPayload,
   decodeTerminalStreamFrame,
   encodeTerminalStreamFrame,
   TerminalStreamOpcode,
@@ -423,17 +422,24 @@ async function collectRawBinaryFrames(
   });
 }
 
+async function decodeRestoreState(
+  frame: TerminalStreamFrame,
+  terminalId: string,
+): Promise<TerminalState> {
+  const size = ctx.daemon.daemon.terminalManager!.getTerminal(terminalId)!.getSize();
+  const terminal = new HeadlessTerminal({ ...size, scrollback: 1000, allowProposedApi: true });
+  try {
+    await new Promise<void>((resolve) => terminal.write(frame.payload, resolve));
+    return readHeadlessState(terminal);
+  } finally {
+    terminal.dispose();
+  }
+}
+
 function getFrameText(frame: TerminalStreamFrame): string {
   if (frame.opcode === TerminalStreamOpcode.Output) {
     return new TextDecoder().decode(frame.payload);
   }
-  if (frame.opcode === TerminalStreamOpcode.Snapshot) {
-    const state = decodeTerminalSnapshotPayload(frame.payload);
-    if (!state) {
-      return "";
-    }
-    return extractStateText(state);
-  }
   if (frame.opcode === TerminalStreamOpcode.Restore) {
     return new TextDecoder().decode(frame.payload);
   }
@@ -483,7 +489,7 @@ function startTerminalOutputCapture(ws: WebSocket, slot: number): TerminalOutput
     if (!frame || frame.slot !== slot) {
       return;
     }
-    if (frame.opcode === TerminalStreamOpcode.Snapshot) {
+    if (frame.opcode === TerminalStreamOpcode.Restore) {
       snapshotCount += 1;
       return;
     }
@@ -671,7 +677,7 @@ async function measureRepeatCadenceForTerminal(input: {
     const slot = await subscribeRawTerminal(ws, terminalId, `sub-repeat-cadence-${input.name}`);
     await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.slot === slot && frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.slot === slot && frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
     await new Promise((resolve) => setTimeout(resolve, 1000));
@@ -854,13 +860,7 @@ test("live terminal restore skips the initial snapshot", async () => {
 
     expect(outputText).toContain("after-live");
     expect(outputText).not.toContain("before-live");
-    expect(
-      outputFrames.some(
-        (frame) =>
-          frame.opcode === TerminalStreamOpcode.Snapshot ||
-          frame.opcode === TerminalStreamOpcode.Restore,
-      ),
-    ).toBe(false);
+    expect(outputFrames.some((frame) => frame.opcode === TerminalStreamOpcode.Restore)).toBe(false);
   } finally {
     await closeWebSocket(ws);
   }
@@ -938,15 +938,12 @@ test("propagates debounced terminal titles through list responses and snapshots"
   }
   expect(listedTitle).toBe("Build Output");
 
-  const snapshotPromise = waitForTerminalSnapshot(
-    ctx.client,
-    terminalId,
-    (state) => state.title === "Build Output",
+  const attached = await ctx.client.subscribeTerminal(terminalId);
+  expect(attached.error).toBeNull();
+  const afterAttach = await ctx.client.listTerminals(cwd);
+  expect(afterAttach.terminals.find((terminal) => terminal.id === terminalId)?.title).toBe(
+    "Build Output",
   );
-  await ctx.client.subscribeTerminal(terminalId);
-  const snapshot = await snapshotPromise;
-
-  expect(snapshot.title).toBe("Build Output");
 
   rmSync(cwd, { recursive: true, force: true });
 }, 30000);
@@ -1010,13 +1007,10 @@ test("subscribe response is sent before the initial snapshot frame", async () =>
           return;
         }
         const frame = decodeTerminalStreamFrame(new Uint8Array(buffer));
-        if (frame?.opcode !== TerminalStreamOpcode.Snapshot) {
-          return;
-        }
-        const state = decodeTerminalSnapshotPayload(frame.payload);
-        if (!state || !extractStateText(state).includes("hello-ordering")) {
+        if (frame?.opcode !== TerminalStreamOpcode.Restore) {
           return;
         }
+        if (!getFrameText(frame).includes("hello-ordering")) return;
         events.push("snapshot");
         maybeResolve();
       };
@@ -1150,7 +1144,7 @@ test("reconnected terminal streams replay active input modes after the snapshot"
     const firstSlot = await subscribeRawTerminal(firstWs, terminalId, "sub-input-mode-first");
     await waitForRawBinaryFrame(
       firstWs,
-      (frame) => frame.slot === firstSlot && frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.slot === firstSlot && frame.opcode === TerminalStreamOpcode.Restore,
     );
     sendRawTerminalInput(firstWs, firstSlot, "e");
     await waitForRawBinaryFrame(
@@ -1177,7 +1171,7 @@ test("reconnected terminal streams replay active input modes after the snapshot"
     const secondSlot = await subscribeRawTerminal(secondWs, terminalId, "sub-input-mode-second");
     await waitForRawBinaryFrame(
       secondWs,
-      (frame) => frame.slot === secondSlot && frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.slot === secondSlot && frame.opcode === TerminalStreamOpcode.Restore,
     );
     const replay = await waitForRawBinaryFrame(
       secondWs,
@@ -1209,7 +1203,7 @@ test("reconnected terminal streams do not replay input modes before they are ena
     const slot = await subscribeRawTerminal(ws, terminalId, "sub-input-mode-inactive");
     await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.slot === slot && frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.slot === slot && frame.opcode === TerminalStreamOpcode.Restore,
     );
     await waitForNoRawBinaryFrame(ws, 300);
   } finally {
@@ -1225,7 +1219,7 @@ test("fast output to a slow websocket client falls back to a snapshot", async ()
   const ws = await connectRawWebSocket(ctx.daemon.port);
 
   await subscribeRawTerminal(ws, terminalId, "sub-raw");
-  await waitForRawBinaryFrame(ws, (frame) => frame.opcode === TerminalStreamOpcode.Snapshot, 10000);
+  await waitForRawBinaryFrame(ws, (frame) => frame.opcode === TerminalStreamOpcode.Restore, 10000);
 
   const rawSocket = (ws as WebSocket & { _socket?: { pause: () => void; resume: () => void } })
     ._socket;
@@ -1240,12 +1234,12 @@ test("fast output to a slow websocket client falls back to a snapshot", async ()
   await new Promise((resolve) => setTimeout(resolve, 750));
   const catchUpFramePromise = waitForRawBinaryFrame(
     ws,
-    (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+    (frame) => frame.opcode === TerminalStreamOpcode.Restore,
     15000,
   );
   rawSocket!.resume();
   const catchUpFrame = await catchUpFramePromise;
-  expect(catchUpFrame.opcode).toBe(TerminalStreamOpcode.Snapshot);
+  expect(catchUpFrame.opcode).toBe(TerminalStreamOpcode.Restore);
 
   await closeWebSocket(ws);
   rmSync(cwd, { recursive: true, force: true });
@@ -1440,10 +1434,10 @@ test("websocket terminate then new connection gets snapshot with all prior outpu
     await subscribeRawTerminal(firstSocket, terminalId, "sub-drop-a");
     const initialSnapshot = await waitForRawBinaryFrame(
       firstSocket,
-      (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
-    expect(initialSnapshot.opcode).toBe(TerminalStreamOpcode.Snapshot);
+    expect(initialSnapshot.opcode).toBe(TerminalStreamOpcode.Restore);
 
     ctx.client.sendTerminalInput(terminalId, {
       type: "input",
@@ -1479,9 +1473,9 @@ test("websocket terminate then new connection gets snapshot with all prior outpu
     try {
       await subscribeRawTerminal(secondSocket, terminalId, "sub-drop-b");
       const reconnectFrame = await waitForRawBinaryFrame(secondSocket, () => true, 10000);
-      expect(reconnectFrame.opcode).toBe(TerminalStreamOpcode.Snapshot);
+      expect(reconnectFrame.opcode).toBe(TerminalStreamOpcode.Restore);
 
-      const state = decodeTerminalSnapshotPayload(reconnectFrame.payload);
+      const state = await decodeRestoreState(reconnectFrame, terminalId);
       expect(state).not.toBeNull();
       expect(extractStateText(state!)).toContain("before-drop");
       expect(extractStateText(state!)).toContain("while-dead");
@@ -1550,11 +1544,11 @@ test("snapshot fidelity through websocket decode preserves dimensions and visibl
     await subscribeRawTerminal(ws, terminalId, "sub-fidelity");
     const snapshotFrame = await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
 
-    const state = decodeTerminalSnapshotPayload(snapshotFrame.payload);
+    const state = await decodeRestoreState(snapshotFrame, terminalId);
     expect(state).not.toBeNull();
     expect(state).toMatchObject({
       rows: 24,
@@ -1582,7 +1576,7 @@ test("terminal exit prevents resubscribe and sends no frames after exit", async
     await subscribeRawTerminal(ws, terminalId, "sub-exit");
     await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
 
@@ -1598,8 +1592,7 @@ test("terminal exit prevents resubscribe and sends no frames after exit", async
     const exitMessage = await exitMessagePromise;
     expect(exitMessage.message.type).toBe("terminal_stream_exit");
 
-    const subscribeResult = await ctx.client.subscribeTerminal(terminalId);
-    expect(subscribeResult.error).toBe("Terminal not found");
+    await expect(ctx.client.subscribeTerminal(terminalId)).rejects.toThrow("Terminal not found");
     await waitForNoRawBinaryFrame(ws, 750);
   } finally {
     await closeWebSocket(ws);
@@ -1617,7 +1610,7 @@ test("empty input frame does not crash the server", async () => {
     const slot = await subscribeRawTerminal(ws, terminalId, "sub-empty-input");
     await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
 
@@ -1656,7 +1649,7 @@ test("1MB output burst keeps frames decodable and terminal usable afterward", as
     await subscribeRawTerminal(ws, terminalId, "sub-large-output");
     await waitForRawBinaryFrame(
       ws,
-      (frame) => frame.opcode === TerminalStreamOpcode.Snapshot,
+      (frame) => frame.opcode === TerminalStreamOpcode.Restore,
       10000,
     );
 
@@ -1673,7 +1666,7 @@ test("1MB output burst keeps frames decodable and terminal usable afterward", as
           .reduce((sum, frame) => sum + frame.payload.byteLength, 0);
         return (
           outputBytes >= 1024 * 1024 ||
-          collectedFrames.some((frame) => frame.opcode === TerminalStreamOpcode.Snapshot)
+          collectedFrames.some((frame) => frame.opcode === TerminalStreamOpcode.Restore)
         );
       },
       20000,
@@ -1683,7 +1676,7 @@ test("1MB output burst keeps frames decodable and terminal usable afterward", as
     for (const frame of frames) {
       expect(
         frame.opcode === TerminalStreamOpcode.Output ||
-          frame.opcode === TerminalStreamOpcode.Snapshot,
+          frame.opcode === TerminalStreamOpcode.Restore,
       ).toBe(true);
     }
 
diff --git a/packages/server/src/server/owned-subscriptions.e2e.test.ts b/packages/server/src/server/owned-subscriptions.e2e.test.ts
index 2a3128ea9f..fc73e44db4 100644
--- a/packages/server/src/server/owned-subscriptions.e2e.test.ts
+++ b/packages/server/src/server/owned-subscriptions.e2e.test.ts
@@ -822,86 +822,100 @@ test("same-workspace terminal directory observers do not share a teardown slot",
   }
 });
 
-test("terminal output has separate server IDs and binary slots, including in a shared session", async () => {
-  const daemon = await createTestPaseoDaemon({ mcpEnabled: false });
-  const admin = new DaemonClient({ url: `ws://127.0.0.1:${daemon.port}/ws`, appVersion: "0.8.0" });
-  const peers: SubscriptionPeer[] = [];
-  try {
-    await admin.connect();
-    const workspace = (
-      await admin.createWorkspace({ source: { kind: "directory", path: daemon.staticDir } })
-    ).workspace!;
-    const result = await admin.createTerminal(daemon.staticDir, "Output ownership", undefined, {
-      workspaceId: workspace.id,
-      command: process.execPath,
-      args: ["-e", "process.stdin.on('data', data => process.stdout.write(data))"],
+test.each([false, true])(
+  "terminal output has separate server IDs and binary slots, including in a shared session (chunked=%s)",
+  async (chunked) => {
+    const daemon = await createTestPaseoDaemon({ mcpEnabled: false });
+    const admin = new DaemonClient({
+      url: `ws://127.0.0.1:${daemon.port}/ws`,
+      appVersion: "0.8.0",
     });
-    expect(result.error).toBe(null);
-    const idle = await SubscriptionPeer.connect(daemon.port, "terminal-output-session");
-    peers.push(idle);
-    const peer = await SubscriptionPeer.connect(daemon.port, "terminal-output-session");
-    peers.push(peer);
-    for (const requestId of ["output-a", "output-b"]) {
-      await peer.request({
-        type: "subscribe_terminal_request",
-        requestId,
-        terminalId: result.terminal!.id,
+    const peers: SubscriptionPeer[] = [];
+    try {
+      await admin.connect();
+      const workspace = (
+        await admin.createWorkspace({ source: { kind: "directory", path: daemon.staticDir } })
+      ).workspace!;
+      const result = await admin.createTerminal(daemon.staticDir, "Output ownership", undefined, {
+        workspaceId: workspace.id,
+        command: process.execPath,
+        args: ["-e", "process.stdin.on('data', data => process.stdout.write(data))"],
       });
-    }
-    const replies = peer.frames.flatMap((frame) =>
-      frame.type === "session" &&
-      frame.message.type === "subscribe_terminal_response" &&
-      frame.message.payload.error === null
-        ? [frame.message.payload]
-        : [],
-    );
-    expect(replies).toHaveLength(2);
-    const ids = replies.map(
-      (reply) => (reply as typeof reply & { subscriptionId: string }).subscriptionId,
-    );
-    expect(ids.every((id) => typeof id === "string")).toBe(true);
-    expect(ids[0]).not.toBe(ids[1]);
-    expect(replies[0].slot).not.toBe(replies[1].slot);
-    await expect
-      .poll(() =>
-        peer.binaryFrames
-          .map(decodeTerminalStreamFrame)
-          .filter((frame) => frame?.opcode === TerminalStreamOpcode.Snapshot)
-          .map((frame) => frame!.slot),
-      )
-      .toEqual(expect.arrayContaining(replies.map((reply) => reply.slot)));
-    expect(idle.binaryFrames).toEqual([]);
-    await peer.request({
-      type: "subscription.release.request",
-      requestId: "release-output-a",
-      subscriptionId: ids[0],
-    });
-    peer.binaryFrames.length = 0;
-    admin.sendTerminalInput(result.terminal!.id, { type: "input", data: "remaining-observer\n" });
-    await expect
-      .poll(
-        () =>
+      expect(result.error).toBe(null);
+      const idle = await SubscriptionPeer.connect(daemon.port, "terminal-output-session", {
+        terminal_chunked_replay: chunked,
+      });
+      peers.push(idle);
+      const peer = await SubscriptionPeer.connect(daemon.port, "terminal-output-session", {
+        terminal_chunked_replay: chunked,
+      });
+      peers.push(peer);
+      for (const requestId of ["output-a", "output-b"]) {
+        await peer.request({
+          type: "subscribe_terminal_request",
+          requestId,
+          terminalId: result.terminal!.id,
+        });
+      }
+      const replies = peer.frames.flatMap((frame) =>
+        frame.type === "session" &&
+        frame.message.type === "subscribe_terminal_response" &&
+        frame.message.payload.error === null
+          ? [frame.message.payload]
+          : [],
+      );
+      expect(replies).toHaveLength(2);
+      const ids = replies.map(
+        (reply) => (reply as typeof reply & { subscriptionId: string }).subscriptionId,
+      );
+      expect(ids.every((id) => typeof id === "string")).toBe(true);
+      expect(ids[0]).not.toBe(ids[1]);
+      expect(replies[0].slot).not.toBe(replies[1].slot);
+      await expect
+        .poll(() =>
           peer.binaryFrames
             .map(decodeTerminalStreamFrame)
-            .filter((frame) => frame?.opcode === TerminalStreamOpcode.Output)
-            .map((frame) => Buffer.from(frame!.payload).toString())
-            .join(""),
-        { timeout: 5000 },
-      )
-      .toContain("remaining-observer");
-    expect(
-      peer.binaryFrames
-        .map(decodeTerminalStreamFrame)
-        .every((frame) => frame?.slot === replies[1].slot),
-    ).toBe(true);
-    expect(idle.binaryFrames).toEqual([]);
-    await admin.killTerminal(result.terminal!.id);
-  } finally {
-    for (const peer of peers) peer.close();
-    await admin.close();
-    await daemon.close();
-  }
-});
+            .filter(
+              (frame) =>
+                frame?.opcode ===
+                (chunked ? TerminalStreamOpcode.ReplayEnd : TerminalStreamOpcode.Restore),
+            )
+            .map((frame) => frame!.slot),
+        )
+        .toEqual(expect.arrayContaining(replies.map((reply) => reply.slot)));
+      expect(idle.binaryFrames).toEqual([]);
+      await peer.request({
+        type: "subscription.release.request",
+        requestId: "release-output-a",
+        subscriptionId: ids[0],
+      });
+      peer.binaryFrames.length = 0;
+      admin.sendTerminalInput(result.terminal!.id, { type: "input", data: "remaining-observer\n" });
+      await expect
+        .poll(
+          () =>
+            peer.binaryFrames
+              .map(decodeTerminalStreamFrame)
+              .filter((frame) => frame?.opcode === TerminalStreamOpcode.Output)
+              .map((frame) => Buffer.from(frame!.payload).toString())
+              .join(""),
+          { timeout: 5000 },
+        )
+        .toContain("remaining-observer");
+      expect(
+        peer.binaryFrames
+          .map(decodeTerminalStreamFrame)
+          .every((frame) => frame?.slot === replies[1].slot),
+      ).toBe(true);
+      expect(idle.binaryFrames).toEqual([]);
+      await admin.killTerminal(result.terminal!.id);
+    } finally {
+      for (const peer of peers) peer.close();
+      await admin.close();
+      await daemon.close();
+    }
+  },
+);
 
 test("a modern connection and pure reads retain no client observation producers", async () => {
   const daemon = await createTestPaseoDaemon({ mcpEnabled: false });
diff --git a/packages/server/src/server/websocket-server.ts b/packages/server/src/server/websocket-server.ts
index 8cfaa000eb..b7024a638b 100644
--- a/packages/server/src/server/websocket-server.ts
+++ b/packages/server/src/server/websocket-server.ts
@@ -2016,7 +2016,6 @@ export class VoiceAssistantWebSocketServer {
         resumeOnStartupSetting: true,
         // COMPAT(terminalRestoreModes): added in v0.1.81, remove gate after 2026-11-23.
         "terminal-restore-modes": true,
-        terminalChunkedReplay: true,
         // COMPAT(terminalInputModeReplay): added in v0.2.6, remove gate after 2027-02-02.
         "terminal-input-mode-replay": true,
         // COMPAT(terminalSizeOwnership): added in v0.2.6, remove gate after 2027-02-02.
diff --git a/packages/server/src/terminal/terminal-session-controller.test.ts b/packages/server/src/terminal/terminal-session-controller.test.ts
index b4adbfd221..d64ad0ea55 100644
--- a/packages/server/src/terminal/terminal-session-controller.test.ts
+++ b/packages/server/src/terminal/terminal-session-controller.test.ts
@@ -43,7 +43,9 @@ function replayFixture(
 }
 
 function createController(
-  options: TerminalSessionControllerOptions & { emitBinary(frame: Uint8Array): void },
+  options: TerminalSessionControllerOptions & {
+    emitBinary(frame: Uint8Array): void | Promise<void>;
+  },
 ) {
   const source = {};
   const ownership = new SessionDelivery(
@@ -676,7 +678,12 @@ describe("terminal-session-controller workspace-scoped subscriptions", () => {
 });
 
 describe("terminal-session-controller backpressure snapshot fallback", () => {
-  async function setup(getClientBufferedAmount: () => number | null): Promise<{
+  async function setup(
+    getClientBufferedAmount: () => number | null,
+    chunked = false,
+    pace?: () => Promise<void>,
+  ): Promise<{
+    messages: SessionOutboundMessage[];
     pushOutput: (data: string) => void;
     frames: TerminalStreamFrame[];
   }> {
@@ -726,13 +733,18 @@ describe("terminal-session-controller backpressure snapshot fallback", () => {
     };
 
     const frames: TerminalStreamFrame[] = [];
+    const messages: SessionOutboundMessage[] = [];
     const controller = createController({
       terminalManager,
-      emit: vi.fn(),
+      emit: (message) => {
+        messages.push(message);
+      },
+      supportsChunkedReplay: () => chunked,
       emitBinary: (bytes) => {
         const frame = decodeTerminalStreamFrame(bytes);
         if (frame) {
           frames.push(frame);
+          if (frame.opcode === TerminalStreamOpcode.ReplayBegin) return pace?.();
         }
       },
       hasBinaryChannel: () => true,
@@ -754,6 +766,7 @@ describe("terminal-session-controller backpressure snapshot fallback", () => {
     return {
       pushOutput: (data) => terminalListener?.({ type: "output", data, revision: 2 }),
       frames,
+      messages,
     };
   }
 
@@ -818,6 +831,32 @@ describe("terminal-session-controller backpressure snapshot fallback", () => {
 
     expect(frames.some((frame) => frame.opcode === TerminalStreamOpcode.Restore)).toBe(true);
   });
+  test("paces capable catch-up while the direct socket drains instead of ending the stream", async () => {
+    let buffered = 0;
+    let release!: () => void;
+    const gate = new Promise<void>((resolve) => {
+      release = resolve;
+    });
+    const { pushOutput, frames, messages } = await setup(
+      () => buffered,
+      true,
+      () => (buffered ? gate : Promise.resolve()),
+    );
+    buffered = 8 * 1024 * 1024;
+    pushOutput("y".repeat(300 * 1024));
+    await waitForCoalescerFlush();
+    expect(messages.filter((message) => message.type === "terminal_stream_exit")).toEqual([]);
+    expect(frames.map((frame) => frame.opcode)).toEqual([TerminalStreamOpcode.ReplayBegin]);
+    buffered = 0;
+    release();
+    await waitForCoalescerFlush();
+    expect(frames.map((frame) => frame.opcode)).toContain(TerminalStreamOpcode.ReplayEnd);
+    frames.length = 0;
+    buffered = 8 * 1024 * 1024; // Small output must stay live after the replay resets its byte counter.
+    pushOutput("live-after-recovery");
+    await waitForCoalescerFlush();
+    expect(frames.map((frame) => frame.opcode)).toEqual([TerminalStreamOpcode.Output]);
+  });
 });
 
 function exitFixture(readReplay: () => Promise<ReplayFixture | null>, backedUp = false) {
diff --git a/packages/server/src/terminal/terminal-session-controller.ts b/packages/server/src/terminal/terminal-session-controller.ts
index 0989c68fc4..1e80af689b 100644
--- a/packages/server/src/terminal/terminal-session-controller.ts
+++ b/packages/server/src/terminal/terminal-session-controller.ts
@@ -1102,25 +1102,6 @@ export class TerminalSessionController {
       snapshotOptions,
       async (event) => {
         if (this.activeStreams.get(activeStream.slot) !== activeStream) return;
-        const buffered = this.options.getClientBufferedAmount?.(activeStream.owner.source);
-        if (
-          chunked &&
-          buffered !== null &&
-          buffered !== undefined &&
-          buffered > MAX_CLIENT_BUFFERED_BYTES
-        ) {
-          activeStream.owner.emit({
-            type: "terminal_stream_exit",
-            payload: {
-              terminalId: activeStream.terminalId,
-              error: "Terminal replay transport overflow; attach again",
-            },
-          });
-          this.detachRegistration(activeStream);
-          void activeStream.owner.release();
-
-          return;
-        }
         await deliver(event);
       },
     );